HWSet3

Selected Stock Exchanges in United States

Two known stock exchanges in the US are NYSE and NASDAQ. The two platforms account for the majority of stocks that are traded in America and across the world. Thus, the two exchanges deal with large volume of stocks, and they trade online. However, they have major differences in how they conduct their activities. For instance, NYSE operates in auction style while NASDAQ is dealer based. Another major difference is that NASDAQ deals with growth and volatile shares while NYSE deals with well-established stocks with higher returns. ExxonMobil is an example of a stock listed in NYSE and Microsoft is an example of a stock listed in NASDAQ.

Free Cash Flow

The free cash flow for Win Finance Holdings in 2013 was zero but in 2014, is was (13,397.9). This suggests that the company was not able to pursue opportunities that increase shareholder value because of insufficient funds.

The Agilent Technologies Inc. free cash flows in were 2013 $957 million and $506 million in 2014. This implies that the company is able to maintain or expand its asset base. Also the free cash flow means that the company is able to pursue opportunities that enhance shareholder wealth.

Financial ratios

Wins Finance Holdings

Liquidity ratios

Current ratio 2014= Current Assets/ Current Liabilities

222,436.2/1,35,996.1

1.64

Current ratio 2013=51,252/16,329.4

3.14

Working capital ratio= Current assets/ Current liabilities

Working capital ratio 2014=222,436.2/1,35,996.1

1.64

Working capital ratio2013=51,252/16,329.4

3.14

Asset Management Ratio

Total Assets Turnover 2014=Sales/ Total Assets

12,625.3/ 225,550

0.06

Total Assets Turnover 2013=5,459.3/54,292.2

0.10

Receivables turnover=Sales/ Accounts receivables

Receivable turnover 2014= 12,625.3/ 34,834.5

0.36

Receivable turnover 2013= 5,459.3/7,063.5

0.77

Profitability ratio

Profit Margin ratio=Net Income/ Net sales

Profit margin 2014=7,518.9/12,625.3

0.60

Profit margin 2013=2,470.9/5,459.3

0.45

Return on Equity=Net Income / Shareholders’ Equity

Return on Equity 2014=7,518.9/209,433.6

0.04

Return on Equity2013=2,470.9/36,045.6

0.07

Agilent Technologies Inc.

Liquidity ratios

Current ratio 2013= Current Assets/ Current Liabilities

4.98/1.6

3.113

Current ratio 2014=55.5/1.7

3.235

Working capital ratio= Current assets/ Current liabilities

Working capital ratio 2013=4.98/1.6

3.113

Working capital ratio 2014=55.5/1.7

3.235

Asset Management Ratio

Total Assets Turnover 2013=Sales/ Total Assets

6.78 /10.69

0.63

Total Assets Turnover 2014=6.98/10.83

0.64

Receivables turnover=Sales/ Accounts receivables

Receivable turnover 2014= 6.98/ 1.08

6.46

Receivable turnover 2013= 6.78B/0.941B

7.21

Profitability Ratio

Profit Margin ratio= Net Income/ Net sales

Profit margin 2013=0.724B/6.78B

0.11

Profit margin 2014=0.504B/10.83

0.05

Return on Equity=Net Income / Shareholders’ Equity

Return on Equity 2014=0.504B/5.3B

0.10

Return on Equity2013=0.724B/5.29B

0.14

Challenges, Strengths, and Weaknesses

From the review, the Wins Finance Holdings can pay off its long term and short-term obligation whenever they become due, which is strength in its operation. Their weakness is that they are experiencing low sales turnover. This is because the company is facing hurdles from its rivals thereby making the sales to be very low.

The challenge that Agilent Technologies Inc. is experiencing is stiff competition, which has caused the company to have low sales revenue. The key thing about the company is that they're able to pay off all its current assets when they mature. The weakness is congestion of domestic markets.

References

Agilent Technologies Inc. (n.d.). Retrieved from http://www.marketwatch.com/investing/stock/a/financials

Bodie, Z. (2013). Investments. McGraw-Hill.

Cheng, Y., & Stunda, R. A. (2015). Where to Invest: NYSE or NASDAQ?. ASBBS E-Journal, 11(1), 68.

Bodie, Z. (2013). Investments. McGraw-Hill.

(n.d.). Retrieved from http://quotes.wsj.com/WINS/financials/annual/income-statement